Both companies' boards unanimously approved the transaction, which is targeted to close in the second quarter.

It needs approval from Beam Inc. stockholders.

Louisville Mayor Greg Fischer said he sees opportunity in the acquisition.

"The state of Kentucky has great relationships with many Japanese companies starting back with Toyota, so we're very excited about the possibilities that this could bring with us," Fischer said.

Beam gave this statement:

"It's business as usual at Beam, and we anticipate our operations to continue as they are. Suntory has indicated that it wants us to keep doing what we've been doing. Our portfolios and organizations are complementary. Among the things that have attracted Suntory to Beam are our people, our culture, and how we achieve success - they want that to continue. "